Business
Netflix Adds 2.4 Million Subscribers After Months Of Declines
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Topline
Netflix gained 2.4 million new paid subscribers in the third quarter of this year, the company said in an earnings report Tuesday, a reversal for the streamer after reporting losses for the first time in 10 years over the last two consecutive quarters.
Homepage of Netflix, a popular media streaming website.
Key Facts
Netflix reported 223.09 million subscribers, up from the 220.67 million it reported in July and 213.56 million in the third quarter of last year.
The streaming service beat its own forecast of 221.67 subscribers.
Netflix predicted it will continue to grow its subscriber base and add 4.5 million paid users by the end of the fourth quarter.
The company generated $1.4 billion in net income in the third quarter, down nearly 4% from a year ago, and revenue grew 5.9% to $7.9 billion, both of which beat the company’s forecasts.
Netflix’s share price jumped almost 14% in after-hours trading Tuesday and stood at $273.78 as of 4:30 p.m., after closing at $240.86.
What To Watch For
In November, Netflix plans to launch a cheaper ad-supported tier, the first time ads will be coming to the streaming service.
This is a developing story.
Further Reading
Netflix’s Cheaper Ad-Supported Tier Launching November 3 (Forbes)
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Marisa Dellatto, Forbes Staff
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